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Gold/Mining/Energy : Golden Eagle Int. (MYNG) -- Ignore unavailable to you. Want to Upgrade?

To: Jon Matz who wrote (30685)	2/28/2003 4:20:55 PM
From: steadyasyougo	Read Replies (1) \| Respond to of 34075

Hi, Jon. No I don't know how many pay streaks can be caved into at Chaco Mountain. Trites said there were from 17 to 34 pay streaks in the area, identified by electrical resistivity, but that they had to be verified by sinking shafts. I heard in one of the 70 or so Aramayo company shafts, they had worked or at least identified 19 pay streaks. The number 35 gets quoted often. I dare say that the number will vary with the location up and down the valley. The company keeps saying "several of the known 35 pay streaks". I would guess about ten caveable at Cueva Playa, but WDIK. If I understand right, Cueva Playa is on the other side of the mountain from Chaco Face. The pay streaks have been exposed on the face, so they know at least that number of pay streaks, assuming the adit entrance at Cueva Playa is about equal to the level of the bottom of the exposed face. If you saw Doug's video clips, you will see that the bottom of the face is a considerable distance from the river level. Also, a side view reveals that there is still a lot of mountain height above the top of the exposed Chaco face. I assume one could take an average height of the conglomerate and set up a model, putting in 35 pay streaks. This would be tricky. The pay streaks occur less at the top of the conglomerate and increase in density as you go down toward the old paleochannel. So, your model could not use equal spacing for 35 pay streaks. Remember, too, if I heard right, is that the Chaco Mountain is sitting on bedrock outcrop from the river. I don't think there is a lot of conglomerate here below the river level, even though this part of the river is characterized as having 1000 feet or more of conglomerate below the river level (such as the shaft at Cangalli). Makes modelling a pay streak distribution almost impossible without more information. I think Terry said that we will mine more ore when we hit the pay streaks, not that we will mine more of a pay streak. He could have used better word choice. They said we hadn't mined any pay streaks at end of January. I don't think he would reverse himself. And, the rather consistent 0.4 to 0.5 gpt we have seen all along seems to verify no pay streaks yet. To do so you would have the rather co-incidental result of getting lower grades for the non pay streak material in the mine, add in pay streak higher grade, and get just about the same average grade as the open pit material on the edge of the mountain. Possible, but not probable. gerald